Investors have have enjoyed markets risings so far in 2024, but tech leaders hit the brakes yesterday – 7/24/2024
Posted By RichC on July 25, 2024
The indices took a dive on Wall Street on Wednesday as the Magnificent Seven tech stocks that have lead the stock market recently, sold off after Alphabet $GOOGL(parent of Google) and Tesla $TSLA disappointed 
with earnings.
As a WSJ live post put it, “the thrashing wiped out hundreds of billions of dollars in market value from the Magnificent Seven stocks.”
Barron’s Advisor commented, “Investors are also likely double-guessing their take on artificial intelligence and whether the massive investments will see the payoff they’ve imagined.”
For those smaller companies (and home shoppers) who have been waiting and wanting to borrow, there is hope on the horizon. An economic slump along with easing inflation may cause the Fed to begin their easing. Most watchers believe that the Fed will begin lowering rates with a quarter point in September and perhaps go another quarter point by the end of the year.
Who knows, since the economy and relatively stable jobs situation (unemployment rate) has tolerated the Fed’s attempt to slow the economy. We’ve been in a much higher inflationary environment than in years past so seeing people continue to spend and travel has been surprising 
to me (considering goods and services have risen much higher and faster than wages).
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